Do Kwon denies Charges Against him

Do Kwon, the founder of Terraform Labs, has defended himself in a Montenegrin court over allegations of traveling with forged passports. As per a June 17 report by Segye Ilbo, Kwon received these documents, including a Costa Rican passport, from unidentified third-party "agencies". 

Kwon claims he had been using his Costa Rican passport for years, making it difficult to suspect it was counterfeit. Despite the prosecution's insistence, Kwon was unable to provide specific details about the agencies, only mentioning they were "Chinese".

The court also summoned Han Chong-joon, former CFO of Terraform Labs, for questioning alongside Kwon. Moreover, Kwon refuted claims of having provided financial assistance to Milojko Spajić, former finance minister of Montenegro and leader of the Europe Now party. This was reported by Radio Free Europe's regional division.

Despite rumors of a financial relationship between Kwon and Spajić gaining traction in Montenegro, both individuals have firmly denied any such connections. Judge Ivana Becić has scheduled a verdict for June 19 on the forgery accusations. While waiting for the verdict, Kwon will be held in extradition custody for up to six months as South Korea's extradition request is considered.

Kwon and Chong-Joon were taken into custody on March 23 for allegedly tampering with passports to flee Montenegro for Dubai. Despite an initial approval for a bail amount of $436,000 (400,000 euro), this decision was overturned on May 24. However, the pair were finally granted bail on June 5, with strict monitoring conditions in place.

Lastly, it is important to note that the Terra ecosystem, developed by Terraform Labs, suffered a massive failure in May 2022, causing estimated losses of nearly $40 billion.